Exit or Disposal Activities

3 Months Ended

Mar. 31, 2014

Restructuring and Related Activities [Abstract]

EXIT OR DISPOSAL ACTIVITIES

EXIT OR DISPOSAL ACTIVITIES

Liabilities associated with exit or disposal activities are recognized as incurred in accordance with the Exit or Disposal Cost Obligations Topic of the ASC. Qualified exit costs primarily include post-closure rent expenses, incremental post-closure costs and costs of employee terminations. Adjustments may be made to liabilities accrued for qualified exit costs if information becomes available upon which more accurate amounts can be reasonably estimated. Concurrently, property, plant and equipment is tested for impairment in accordance with the Property, Plant and Equipment Topic of the ASC, and if impairment exists, the carrying value of the related assets is reduced to estimated fair value. Additional impairment may be recorded for subsequent revisions in estimated fair value.

In the three months ended March 31, 2014, two stores in the Paint Stores Group, two stores in the Latin America Coatings Group and three facilities in the Consumer Group were closed due to lower demand or redundancy.

The following table summarizes the activity and remaining liabilities associated with qualified exit costs at March 31, 2014:

(Thousands of dollars)
Exit Plan	Balance at December 31, 2013		Provisions in Cost of goods sold or SG&A		Actual expenditures charged to accrual			Adjustments to prior provisions in Other general expense - net		Balance at March 31, 2014
Consumer Group facilities shutdown in 2014:
Severance and related costs			$	499						$	499
Paint Stores Group facility shutdown in 2013:
Severance and related costs	$	977	838		$	(6	)			1,809
Other qualified exit costs			1,512							1,512
Consumer Group facilities shutdown in 2013:
Severance and related costs	598		48		(57		)			589
Global Finishes Group stores shutdown in 2013:
Severance and related costs	253				(50		)			203
Latin America Coatings Group facilities shutdown in 2013:
Severance and related costs	123				(17		)			106
Paint Stores Group stores shutdown in 2012:
Other qualified exit costs	244				(13		)			231
Global Finishes Group facilities shutdown in 2012:
Severance and related costs	2,177				(278		)			1,899
Other qualified exit costs	83									83
Other qualified exit costs for facilities shutdown prior to 2012	1,365				(108		)			1,257
Totals	$	5,820	$	2,897	$	(529	)	$	—	$	8,188

For further details on the Company’s exit or disposal activities, see Note 5 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013.